Sri Lankan shares edge down in dull trading ahead of govt budget

COLOMBO Oct 28 (Reuters) - Sri Lankan shares ended weaker
on Friday in thin trading, hovering near a 12-week closing low
hit earlier in the week, as the prime minister's plan for
improving the investment climate failed to bring cheer to the
market.

Sri Lanka will introduce concessions on investments and a
lower tax regime in its budget to boost faltering investment,
generate jobs and remove obstacles to growth for start-up
companies, Prime Minister Ranil Wickremesinghe said in an
economic policy statement on Thursday.

However, investors continued to await the budget, as well as
the central bank's key policy rates and corporate earnings.

ADVERTISEMENT

"Statements will not help the sentiment anymore. The market
is waiting to see some implementation of those policies," a
stockbroker said asking not to be named.

The benchmark index of the Colombo Stock Exchange
ended 0.21 percent, or 13.65 points, weaker at 6,424.85, near
Monday's closing low, which was its lowest close since Aug. 1.

The index fell 0.35 percent for the week, recording its
third straight weekly fall.

Friday's turnover was 288.6 million rupees ($1.96 million),
less than half of this year's daily average of 729.1 million
rupees.

Foreign investors were net buyers of 72.3 million rupees
worth of equities on Friday, extending the net foreign inflow so
far this month to 1.21 billion rupees.